Growth in packaged produce will be driven by rising demand for healthy foods that are fresh-cut or ready-to-eat, and by value added packaging products that help protect, trace and market fresh produce.

US demand to rise 3.2% annually through 2019

Demand for produce packaging in the US is forecast to increase 3.2 percent per year to $6.0 billion in 2019, out-pacing growth in fresh produce production as packaging takes on a greater role in the protection, traceability, and marketing of fresh fruits and vegetables. Demand for healthy foods which are fresh-cut or ready-to-eat will drive gains for packaged produce and help to sustain demand for packaging products, particularly value added types.

Trends toward healthier food to favor produce

Produce packaging will benefit from trends toward healthier food consumption, particularly in fruit applications, which will rise at a faster rate than vegetables or salads. With the rising demand for meat- and gluten-free meal options, fresh produce has become more valued in both retail and foodservice industries as these operations look for ways to appeal to consumers with dietary restrictions. Within the retail market, more offerings of produce that are display ready and sold ready-to-eat will boost demand for packaging products that can extend shelf life and allow contents to be seen clearly. Likewise, foodservice operations will demand greater amounts of packaged fresh-cut produce in order to provide healthier options while cutting down on meal preparation time and labor costs.

Corrugated boxes to remain key packaging type

Corrugated boxes are the leading type of produce packaging due to their light weight, low cost, graphics capabilities, and well established recycling infrastructure. With innovations made to create recyclable alternatives that can be substituted for wax-coated boxes and the development of modular box formats that are more easily stacked and shipped, corrugated boxes are the primary format for bulk shipments. However, demand will grow at a slightly below average pace through 2019 due to market saturation and competition from reusable plastic containers (RPCs) and flexible packaging formats.

Plastic containers, pouches among fastest growing

The fastest growing package formats are those that possess aesthetic appeal, such as plastic containers and stand-up pouches, both of which have the capability to increase brand marketing and recognition. Pouches using anti-fogging films to allow for product visibility often feature colorful graphics to advertise nutritional properties and environmental sourcing practices, especially for products targeted to children. Plastic containers such as clamshells, tubs, cups, and bowls not only provide an extra level of protection for delicate products such as tomatoes and berries, but also differentiate their retail appearance.